Question 1

Can I use a VA loan in Tustin with no money saved?

Accepted Answer

Yes. VA requires zero down payment. You'll still need funds for closing costs, though sellers can contribute toward those.

Question 2

Does FHA require mortgage insurance forever?

Accepted Answer

On most FHA loans with less than 10% down, mortgage insurance stays for the life of the loan. Refinancing into a conventional loan later can remove it.

Question 3

Which loan has a higher credit score requirement?

Accepted Answer

VA doesn't set a minimum credit score by law, but most lenders require around 620. FHA allows 580 for 3.5% down.

Question 4

Are VA loan limits a factor in Orange County?

Accepted Answer

VA eliminated loan limits for borrowers with full entitlement. If you have remaining entitlement only, county limits apply.

Question 5

Can surviving spouses use a VA loan in Tustin?

Accepted Answer

Yes. Unremarried surviving spouses of veterans who died in service or from a service-related condition are eligible for VA loans.

Question 6

Which loan closes faster in a competitive market?

Accepted Answer

FHA and VA timelines are similar. VA appraisals can take longer due to strict property condition requirements. Plan accordingly.

FHA vs VA Loans in Tustin, CA: Which One Wins for You?